Nutek Posts Third Consecutive Quarter of Earnings; Quarterly Revenues Rise 82%.

LAS VEGAS, Nov 6, 2002 (BUSINESS WIRE) -- Nutek Inc. (NUTK) today announced its financial results for the quarter ended Sept. 30, 2002.

Revenues increased 82% to $1,880,388 from $1,032,077 in the third quarter of last year. The increase was principally due to significant growth related to the aggressive sales efforts being made and recurring revenue from long-term contracts.

Scott Kincer, COO, stated, "Our determination to focus on market penetration and customer satisfaction is having a positive impact on both revenue and earnings growth. Furthermore, the decision to transition our call center activities to Costa Rica is proving to be a tremendous success."

Net income was $122,983 for the third quarter of 2002 compared to a net loss of ($140,642), for the same quarter last year.

For the nine months ended Sept. 30, 2002, revenues were $4,946,567 compared to $1,644,633 for the same period last year, representing a gain of 200%. Net income for the first nine months of this year totals $495,632.

Jason Griffith, CFO noted, "As of Sept. 30, 2002, currents assets had increased to $2,707,325 resulting in an increase of working capital to $2,040,257 for the third quarter, giving a current ratio of 4:1. Shareholder equity increased to $6,318,479. The resultant increase in our working capital, the increased shareholder equity and the year to date net profit of approximately 10% are all significant indicators that the company is building a solid foundation."

In conclusion, Murray N. Conradie, president and CEO noted, "We have now reported three consecutive quarters of earnings. With the positive growth within the company over this past year and the cost cutting measures in place, we continue to believe that the company is well positioned for long-term growth."

Nutek is a holding company, with a concentrated focus on three primary operating divisions, diversified in very different industries. Nutek is devoted to the acquisition, development and marketing of proprietary consumer/commercial products. In addition to this division, Nutek Oil, Inc., (NUTO-NQB) based in San Antonio, Texas, and Datascension, Inc., based in Riverside, California, round out the current operating units of Nutek.

Safe Harbor for Forward-Looking Statements

Except for historical information contained herein, the statements in this release are forward-looking statements that are made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties, which may cause the company's actual results in future periods to differ materially from forecasted results. Such risks and uncertainties include, but are not limited to, market conditions, competitive factors, the ability to successfully complete additional financings, the company's failure to implement its business strategies and other risks.